Fears of escalating conflict as gunman injures two Israelis in East Jerusalem

Two Israelis have been shot in occupied East Jerusalem hours after a gunman killed seven people outside a synagogue, as the worst violence in years across Israel and the occupied Palestinian territories continues to escalate.

Police identified the attacker as a 13-year-old boy and unconfirmed Arabic and Hebrew media reports said he was from the nearby Palestinian neighbourhood of Silwan.

The Neve Yaakov attack, in turn, came a day after the deadliest Israeli army raid in the West Bank in two decades, in which nine Palestinians were killed, including two civilians.

The Palestinian Authority, which has limited control over parts of the West Bank, said it would suspend security cooperation with Israel in response to the Jenin raid.

Last year was the bloodiest in Israel and the West Bank since 2004, with about 150 Palestinians and 30 Israelis killed. Another 49 Palestinians died in the Gaza Strip in a surprise three-day Israeli bombing campaign in August.

Thirty-two Palestinians have been killed so far this month.

Illustrating the potential for further escalation, the Palestinian health ministry said on Friday night that three Palestinians were taken to hospital after being shot by an Israeli settler in an incident near the northern West Bank city of Nablus.

Netanyahu vowed on Saturday evening to take forceful and timely measures after the two attacks.